With the federal gift and estate tax exemption now at a record high $11.58 million for 2020, most estates aren’t taxable. But that doesn’t mean making lifetime gifts isn’t without significant benefits — even if your estate isn’t taxable under the current rules. Let’s examine reasons why gifting remains an important part of estate planning.
Joan Ellenbogen
Sep 22, 2020
Making lifetime gifts continues to be a smart estate planning strategy
- By Joan Ellenbogen
- Estate
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Sep 16, 2020
5 key points about bonus depreciation
- By Joan Ellenbogen
- Business
- 0 Comments
Under current law, 100% bonus depreciation will be phased out in steps for property placed in service in calendar years 2023 through 2027. Thus, an 80% rate will apply to property placed in service in 2023, 60% in 2024, 40% in 2025, and 20% in 2026, and a 0% rate will apply in 2027 and
Sep 10, 2020
3 steps experts follow when investigating fraud
- By Joan Ellenbogen
- Fraud
- 0 Comments
When investigating suspected fraud, forensic accountants follow three steps to build a solid case. They generally interview management to gather information about the specific suspicion, general fraud risks and internal controls in place. They also interview suspects and possible witnesses. Next, they gather physical and digital information, such as HR files and IT records. Finally,
Sep 3, 2020
What happens if an individual can’t pay taxes
- By Joan Ellenbogen
- Taxes
- 0 Comments
While you probably don’t have any problems paying your tax bills, you may wonder: What happens in the event you (or someone you know) can’t pay taxes on time? Here’s a look at the options. Most importantly, don’t let the inability to pay your tax liability in full keep you from filing a tax return
Sep 1, 2020
Journal entries may signal financial statement fraud
- By Joan Ellenbogen
- Fraud
- 0 Comments
With a median loss of $954,000, financial statement frauds are the costliest type of white-collar crime, according to the Association of Certified Fraud Examiners (ACFE). But by testing journal entries, auditors and forensic accountants can detect financial misstatement. Experts use technology tools to find red flags such as entries made to seldom-used accounts and by
Aug 26, 2020
File cash transaction reports for your business — on paper or electronically
- By Joan Ellenbogen
- Business
- 0 Comments
Does your business receive large amounts of cash or cash equivalents such as bank checks? You may be required to submit forms to the IRS to report these transactions. Each person engaged in a trade or business who receives more than $10,000 in cash in one transaction, or in two or more related transactions, must
Aug 19, 2020
Take advantage of a “stepped-up basis” when you inherit property
- By Joan Ellenbogen
- Estate
- 0 Comments
If you’re planning your estate, or you’ve inherited assets, you may be unsure of the “cost” (or “basis”) for tax purposes. Under the fair market value basis rules (also known as the “step-up and step-down” rules), an heir receives a basis in inherited property equal to its date-of-death value. For example, if your grandfather bought
Aug 13, 2020
Watch out! Organized crime has adapted just fine to COVID-19
- By Joan Ellenbogen
- Fraud
- 0 Comments
Cyber fraud, including phishing and ransomware attacks, has grown exponentially since millions of Americans started working from home. But then, the organized crime networks behind it have always been agile when it comes to capitalizing on disruption and uncertainty. One way to help protect your business is by updating your cybersecurity plan. You should also
Aug 11, 2020
Zeros and ones: Estate planning for your digital assets and accounts
- By Joan Ellenbogen
- Estate
- 0 Comments
Nearly everyone owns at least some digital assets, such as online bank and brokerage accounts, bill-paying services, cloud-based document storage, digital music collections, social media accounts, and domain names. But what happens to these assets when you die or if you become incapacitated? The answer depends on several factors, including the terms of your service
Aug 5, 2020
Businesses: Get ready for the new Form 1099-NEC
- By Joan Ellenbogen
- Business
- 0 Comments
There’s a new IRS form for business taxpayers that pay or receive nonemployee compensation. Beginning with tax year 2020, payers must complete Form 1099-NEC, Nonemployee Compensation, to report any payment of $600 or more to a payee. Why the new form? Prior to 2020, Form 1099-MISC was filed to report payments totaling at least $600